IBM targeting SMEs for PLM system bundles

Bundled, rapidly deployed PLM (product lifecycle management) software is set to transform adoption of the technology. IBM says it expects 25% of revenues in PLM to come from its PLM Express (not to be confused with UGS Express) offering for SMEs. In part, that’s because prices have been slashed. Debby Welker, IBM global marketing manager, says prices are typically $30,000 instead of $300,000 for full PLM. But it’s also because the IBM/Dassualt bundles are targeted at hot problems, and are fast to get up and running. “Normally, companies start with a goal to integrate two or three applications, for example, with Websphere” says Welker. “That’s automatically sending engineering BoMs to ERP and production, for example.” Such a system would also provide for product designers wanting access to ERP for component pricing or substitute parts, or to manage product files. Moving into heartland PLM, much of IBM’s low cost approach is about requested bundles at pre-approved prices. “There are significant discounts on the premise that customers are buying into the PLM value proposition,” says Welker. And among bundles you’ll even find IBM’s Knowledgeware generative design system, with starter templates at eur 12,000 for the runtime version with Catia and STEP and IGES connectivity. “We’re providing customers with significant productivity improvements that differentiate us from Autodesk,” says Welker. And that extends to IBM’s industry Profile packs, which have seen more price cuts and sweeteners – the last in October 2005. Says Welker “We are slowly changing the awareness needle in the mid market that we do have solutions. SMB is very important to us. We are probably the brand that depends most on SMB revenue – 44% comes from SMB world-wide.”